RISKS Of L/O A Home You Purchased As Owner Occupant Within 1 Yr?
Say you buy a new build tract home as owner occupant and move in. Within 5 months you lease option it out and then buy another. I know you are supposed to live in the residence the first year, but what is the likelyhood of the lender calling the loan due?
I'm not trying to be dishonest, I just bought a new build and decided it is too small and wanted to have one built from the ground up that is bigger. The larger will be done after 6 months in the smaller. I have another house with L/O tenents and would like to sell this way again. I just don't want to do something that a lender may make me regret.
chances are the lender won't even find out, and if so, won't care as long as the payments are kept current. Worst case scenerio is that you might have to refinance the property, which shouldn't be too hard to do, especially if it has paying tenants already in place.
Where you'll get bit is when you start trying to do this every six months are so. Lenders will pick up on that quick.
Roger